Hi everyone we hope you had a good weekend as today we are going to talk about CCK Holdings Berhad

Before we guide you through on CCK let's have a look on it's company profile 

CCK and its subsidiaries, with the principal activities of poultry and retailing. The businesses are carried out primarily in Sarawak, Sabah and Indonesia (Jakarta and Pontianak).

The fully integrated supply chain consists of feedmill, breeder farms, hatchery, broiler farms, layer farm, abattoir and retail stores. Our poultry abattoir is fully equipped with coldstorage facilities and full logistics set-up. The poultry division is well-equipped with the latest breeding farm technologies, computer-controlled hatching chambers and automated abattoir, capable of processing over 30,000 birds per day.

Our abattoir is the only poultry abattoir in Sarawak with a HACCP certification from the Malaysian Government, thus poised to supply both domestic and international consumers with good wholesome chicken meat economically. We are awarded the Certificates of Authentication Halal by the Islamic Majlis Islam Sarawak, and Veterinary Health Mark by Jabatan Perkhidmatan Veterinar (Ministry of Agriculture And Agro-Based Industry Malaysia).

Ok guys phewww that was a long introduction

Now let's study some of the reasons on why CCK should be looked at

1. CCK has strong fundamentals despite Covid-19 which has impacted many companies

2. Malaysian government has opened up nearly every sector and dine in at restaurants has seen a super surge of customers in which it translates to higher demand of poultry 
 

CCK’s customers can be divided into three groups, namely, retail, F&B operators and corporate.

The group’s corporate customers are clients like McDonald’s and KFC, while F&B operators are made up of hawkers, cafes, ‘mamak’ joints, and restaurants..

3. The group’s retail stores are under the CCK Fresh Mart brand name.and they have a strong foothold in East Malaysia as they have about 60 over stores in Sarawak and Sabah.

CCK plans to proceed with the opening of its third CCK Local supermarket in Sibu, Sarawak in the 4th quarter of 2021. In addition, the Group plans to open three (3) CCK Freshmart retail stores in the remaining quarters of the year.

4. Lastly let's talk about the poulty industry itself




Source: https://www.poultryworld.net/Meat/Articles/2021/7/Global-poultry-sector-set-to-improve-post-Covid-772047E/

As conclusion Poultry sector is one the most laggard play in terms of recovery and it should be considered as demand for poulty is on the rise again as things are getting back to normal.

Disclaimer: Author is just sharing his/her opinion as this shouldn't be deemed as a buy/sell call. Kindly consult your financial advisor for more information.